Distinction between Fee simple and leasehold

In relation to the law of property, distinguish between the following terms: Fee simple and leasehold

Fee simple and leasehold


This is a secondary interest in land derived from a primary interest. This interest confers upon others subsidiary powers. The grant, with or without consideration, by the proprietor of land of the right to the exclusive possession of his land, and * includes the right so granted and the instrument granting it, and also includes a sub-lease but does not include an agreement for lease.

Fee simple

This is the greatest estate in land which may be held. The interest in the estate here continues as long as the tenant or any of his heirs survives. Here, the duration of the estate is fixed to the life of the tenant and his heirs. If no heirs exist, it reverts to the state. The word ‘Fees’ denoted that the estate could be inherited while “Simple” meant and denoted those who could inherit the estate.

No conditions are attached as to its inheritance. Holder can dispose it by deed, or by will, wholly or in part, conditionally or unconditionally.

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